The PAYDEX score is Dun & Bradstreet's business payment performance score, rated 0-100, where 80+ indicates on-time or early payment — the most widely cited business credit score in commercial lending and trade credit decisions.
Dun & Bradstreet's PAYDEX score measures how promptly a business pays its trade obligations, based on payment history data reported by vendors, suppliers, and creditors to D&B. The score ranges from 0-100, with 100 representing payment received 30+ days early and 80 representing payment exactly on terms. Scores below 80 indicate late payment behavior; 50 or below represents payment 30+ days late. PAYDEX requires a minimum of three trade references reporting payment history to D&B. This is why building a business credit file intentionally — by establishing vendor accounts with D&B-reporting suppliers and paying them on time — is the foundational step in business credit development. Without trade references, no PAYDEX score exists. Lenders use PAYDEX to evaluate a business's payment reliability beyond personal credit. High PAYDEX (80+) can support better terms from suppliers (net-30 to net-60), lower deposits, and is a positive factor in business loan underwriting. Unlike personal FICO, PAYDEX does not consider credit utilization, debt levels, or credit inquiries — it is purely a payment-timing metric.
PAYDEX measures only payment timing relative to due dates — nothing else. FICO measures payment history, amounts owed, length of credit history, credit mix, and new inquiries. PAYDEX is purely behavioral; FICO is multi-factor. You can have a perfect PAYDEX 80 with zero debt (just paying invoices on time) — FICO requires credit accounts.
Get a D&B DUNS number (free at dnb.com/duns-number.html). Establish at least 3 vendor or supplier accounts that report to D&B — including office supply stores, fuel cards, and trade suppliers who report. Pay every invoice on or before the due date. PAYDEX data updates monthly as payment reports arrive; expect 3-6 months to build a meaningful score.
80+ is the standard threshold for 'satisfactory' payment performance. Many lenders prefer 75-80 minimum for business credit products. Scores below 70 (indicating consistent late payment) are significant negatives. A PAYDEX of 80 paired with strong personal credit and positive bank statements significantly strengthens a business loan application.